SSB 1044 (LSB 1197XD (6) 90)

SENATE/HOUSE FILE _____

BY  (PROPOSED DEPARTMENT OF INSPECTIONS AND APPEALS BILL)

A BILL FOR

An Act relating to health care employment agencies, health care employment agency workers, and health care entities, and including retroactive applicability provisions.
BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF IOWA:

    Section 1.  Section 135Q.1, subsection 2, Code 2023, is amended to read as follows:
   2.  “Direct services” means services provided to consumers through person-to-person contact.
   a.  “Direct services” includes services performed by a registered nurse, a licensed practical nurse, a certified nurse aide, a certified medication aide, or a medication manager.
   b.  “Direct services” excludes services all of the following:
   (1)  Services performed by persons in a health care entity setting that do not involve the provision of any service or treatment to a consumer of a health care entity.  “Direct services” does not include the 
   (2)  Janitorial, housekeeping, laundry, and meal preparation services.
   (3)  The practice of medicine and surgery or osteopathic medicine and surgery by an individual licensed under chapter 148 or the. 
   (4)  The practice of nursing by an advanced registered nurse practitioner or an advanced practice registered nurse licensed under chapter 152 or 152E.
   (5)  The practice of medicine by an individual licensed under chapter 148C to practice as a physician assistant under the supervision of one or more physicians.
   (6)  The practice of physical therapy by an individual licensed under chapter 148A.
   (7)  The practice of occupational therapy by an individual licensed under chapter 148B.
   (8)  The practice of speech pathology or audiology by an individual licensed under chapter 154F.
    Sec. 2.  Section 135Q.2, subsection 3, Code 2023, is amended to read as follows:
   3.  a.  A health care employment agency shall not do any of the following:
   (1)  Restrict in any manner the employment opportunities of an agency worker by including a non-compete clause in any contract with an agency worker or health care entity.
   (2)  In any contract with an agency worker or health care entity, require payment of liquidated damages, employment fees, or other compensation if the agency worker is subsequently hired as a permanent employee of the health care entity.
   b.  This subsection shall not apply to a contract between a health care employment agency and an agency worker or a health care entity if the contract meets all of the following criteria:
   (1)  The contract is entered into for the purpose of placing an agency worker the health care employment agency assisted in obtaining authorization to work in the United States.
   (2)  The contract contains an initial duration term of not less than twenty-four months and a total duration term, including any renewals or extensions, of not more than thirty-six months.
   (3)  The contract requires the agency worker to work for a single health care entity for the entire duration of the contract.
   c.  Any contract that violates this subsection shall be unenforceable in court.
    Sec. 3.  RETROACTIVE APPLICABILITY.  This Act applies retroactively to any contract between a health care employment agency and an agency worker or health care entity referred to under section 135Q.2 that was entered into or executed on or after January 1, 2019.
EXPLANATION
The inclusion of this explanation does not constitute agreement with
the explanation’s substance by the members of the general assembly.
   This bill relates to health care employment agencies, health care employment agency workers, and health care entities under Code chapter 135Q (health care employment agencies and workers).
   The bill specifically includes as “direct services” those services performed by a registered nurse, a licensed practical nurse, a certified nurse aide, a certified medication aide, and a medication manager. The bill specifically excludes as “direct services”, in addition to current exclusions, janitorial, housekeeping, laundry, and meal preparation services; the practice of medicine by an individual licensed under Code chapter 148C to practice as a physician assistant under the supervision of one or more physicians (physician assistants); the practice of physical therapy by an individual licensed under Code chapter 148A (physical therapy); the practice of occupational therapy by an individual licensed under Code chapter 148B (occupational therapy); and the practice of speech pathology or audiology by an individual licensed under Code chapter 154F (speech pathology and audiology).
   The bill also excludes from application of the provisions of Code section 135Q.2, relating to a contract between a health care employment agency and an agency worker or health care entity, a contract between a health care employment agency and an agency worker or health care entity if the contract is entered into for the purpose of placing an agency worker the health care employment agency assisted in obtaining authorization to work in the United States; contains an initial duration term of not less than 24 months and a total duration term, including any renewals or extensions, of not more than 36 months; and requires the agency worker to work for a single health care entity for the entire duration of the contract.
   The bill applies retroactively to any contract between a health care employment agency and an agency worker or health care entity referred to under Code section 135Q.2 that was entered into or executed on or after January 1, 2019.